Earned Value Management Case Study Let's assume that we need to develop a website with 4,000 web pages. The estimated budget at completion (BAC) is $400,000. The time limit for the project is 12 months. After 6 months, the Actual Cost (AC) is found to be $300,000. The work completed is 1,000 web pages, i.e. only $100,000 worth of work has been completed Let's plot this data on an S-curve EMV S-Curve $450,000 $400,000 $350,000 $300,000 $250,000 Cost $200,000 $150,000 $100,000 $50,000 EV SO 3 9 12 PV 6 Time (months) - After 6 months After 6 months: The Planned Value (PV) = 2,000 web pages = $200,000 The Earned Value (EV), ie., actual value of work done = 1,000 web pages = $100,000 The Actual Cost (AC) = $300,000 The Total Budget (BAC) = $400,000 Question: What is the Schedule Variance (SV) in this situation given the formula SV = EV - PV = (note that a negative variance is not good). This project is Schedule. Question: What is the Cost Variance (CV) in this situation given the formula CV = EV- AC = (note that a negative variance is not good). This project is Budget Question: What is the Schedule Performance Index (SPI) in this situation given the formula SPI = EV / PV = Note that SPI